Name | Definition | Implication |
MODY | The difference between the natural logarithm of this year’s closing price and the natural logarithm of last year’s closing price. | The variable to measure the annual return of per stock in the market. |
MODX | The difference between this year earnings per share (EPS) and last year’s earnings per share (EPS). | The variable to measure the annual return of per stock in book value. |
SIZE | Natural logarithm of total assets. | To control the influence brought by the size of the company. |
LEVRATIO | The asset-liability ratio. | To control the debt/asset structure of a company. |
IDXYRRET | The return of Shanghai A Share Index of that year. | To control the influence by the whole market. |
INDUSTRY | Types of industries sorted by CSRC of 2012, financial industry is excluded due to the capital structural difference. | To control the influence generated by the differences between different industries. |